- Apr 24, 2018
The pending sale of Northbrook Court parent company General Growth Properties (GGP) to Canadian company Brookfield Property Partners (BPP) was recently announced.
GGP is an S & P 500 company focused on owning, managing, leasing and redeveloping high-quality retail properties throughout the U.S. It is the second largest U.S. mall-owner, whose portfolio of 122 malls also includes, Water Tower Place in Chicago, the Oakbrook Center, as well as other retail properties on Michigan Ave. GGP is headquartered in Chicago, with over 700 employees.
BPP is one of the world’s largest commercial real estate companies with approximately $68 billion in total assets. The company states that it is the leading owner, operator and investor in commercial real estate,” with a diversified portfolio of premier office and retail assets, as well as interests in multifamily, triple net lease, industrial, hospitality, self-storage, student housing and manufactured housing assets.”
At the time of the announcement, it was not clear how the sale would impact the Chicago headquarters, the fate of the 700 employees, or where the new Real Estate Investment Trust (REIT) that BPP plans to create will be based. According to investment experts cited in the media reports, the deal is not likely to lead to big changes in strategy at GGP’s properties, which are known as higher performing malls.
The sale is pending a vote by GGP shareholders; BPY and its affiliates have agreed to vote in favor of the sale. The transaction is subject to other closing customary conditions and is expected to close early in the third quarter of 2018.